MERGERS & ACQUISITIONS
The legal and tax structure of a business acquisition or sale exerts a major and lasting influence on the businesses involved and their owners. While legal and tax matters rarely constitute the exclusive motivation for acquisitions or divestiture, such considerations are often crucial in determining the ultimate economic benefit to be derived by the parties to the transaction. When businesses change hands, the taxable and tax free methods utilized to effect the transfer are many and varied. These include mergers, stock for stock and stock for assets reorganizations, sale of stock, sale of assets, spin offs, split ups and combinations thereof.
Legal and tax matters are often crucial in determining the ultimate economic benefit to be derived by the parties to the transaction.
Equally as important as the legal and tax aspects of the acquisition or divestiture are methods used to finance the transaction. Cash, stock, bonds, debentures, convertible securities and various types of property are among the financing possibilities which require consideration.
The transfer and financing methods ultimately recommended by the firm are those which maximize the economic value of the transaction while minimizing, postponing or avoiding tax and other liabilities of the business entities involved and their shareholders, partners or owners.
For more information concerning our merger & acquisition services, please contact us at 717-215-9703 or use the form on our Contact page.